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Author Question: A popular value-weighted index is constructed out of shares in the two companies shown in the table, ... (Read 39 times)

DelorasTo

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A popular value-weighted index is constructed out of shares in the two companies shown in the table, below. On Day 1 you construct a portfolio that mimics the index. In order for your portfolio to earn the same return as the index from Day 2 to Day 3, what portfolio weight do you need for Company 1 on Day 2?

Company 1Company 1Company 2Company 2
DayPrice# of Shares OutstandingPrice# of Shares Outstanding
16.6240010.001,500
27.5340010.541,500
38.8240011.071,500

◦ 12%
◦ 13%
◦ 14%
◦ 15%
◦ 16%


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Marked as best answer by DelorasTo on Apr 25, 2021

Jsherida

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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DelorasTo

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Reply 2 on: Apr 25, 2021
Thanks for the timely response, appreciate it


abro1885

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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